Tag: Investment Association

Investment Association

In the FICC of It

In this week’s new style podcast Colin Lambert casts his eye over some key news stories of the week and is joined by Jay Moore, founder and CEO of FX Hedgepool and Rob Loft, founder and CEO of Harvey Loft to discuss two in depth. Listeners will be surprised to hear that Lambert has some […]

Investment Association Calls for Standardised FX Rejects

The UK’s Investment Association (IA) has proposed new standardised categories to simplify the processing of rejected FX trades in a bid to bring greater consistency to the market and improve outcomes for investors. Under the proposals, when a request by an investment manager to trade is not executed, the execution providers – brokers, dealers and […]

And Finally…

The paper has been a long time in the works, so the IA’s proposed guidance around last look may not burst the bubble of those optimists who think last look is a dead issue, but it should concern providers that their clients apparently think they don’t go far enough. That said, I also think this paper highlights how the buy side can be too demanding around certain issues when it could focus on having a more positive impact by doing something itself.

Buy Side Group Releases Last Look Guidelines

The UK’s Investment Association (IA) has today published a number of guidelines regarding the use of last look, seeking to address concerns that this practice can negatively affect the ability of asset managers to meet the needs of their clients.

As part of the guidelines, the IA has also identified a number of instances in which last look should no longer be considered acceptable due to the potential for misuse of information by the liquidity provider.

These include: pre-hedging during the last look window, trading activity based on information derived from rejected trades and trading activity based on information from a request for quotation which is in progress or those that are not won.